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The delivery business is in a bubble right now, deservedly so. But it's going to come back to earth once we have a vaccine. I don't think the price model is sus
by yalogin 6y ago
The delivery business is in a bubble right now, deservedly so. But it's going to come back to earth once we have a vaccine. I don't think the price model is sustainable at all. They are trying to get into the middle of an already tight equation between the service industry and the customers.
To me the main issue is for restaurants the margins are thin and the price/profit equation is very different for every restaurant. So applying the same business/pricing model for all restaurants won't work. The only sustainable way is to let customers pay for the delivery. Right now the apps are forcing the restaurants to pay up in some ways by service shaming them to sign up and offer delivery. Of course profitable restaurants will become do more business and the rest will lost more money. Not a good thing for the over all ecosystem.
I guess this is when the concept of kitchens set up just for delivery will take off.